Austria is one of the largest renewables markets in Europe. The recent amendment to thecountry's Green Electricity Act is expected to benefit wind and solar power in particular. However, thereform did not extend current targets beyond 2020 with further uncertainties over the future of Austria'snon-hydropower renewables market stemming from the upcoming parliamentary elections that may see theright-wing FPÖ become part of the government coalition. The splitting for the German-Austrian biddingzone in October 2018 is expected to see electricity prices rise, benefitting power generators, but alsosubduing consumption levels, further limiting incentives for new renewable projects. Overall, we thereforeretain our restrained growth outlook for the market in our 10-year forecast until 2026.
Latest Updates And Structural Trends
For 2017, we expect non-hydro renewables generation and capacity growth to decrease relative to 2016levels, to 3.86% and 5.5%, respectively. Going into 2018, these levels are forecast to drop slightly to3.7% and 4.9% respectively.